Location: New York, NY | Metro: New York, NY HUD Metro FMR Area
Based on 1% Rule: A+ (≥1.5%) | A (≥1.2%) | B (≥1.0%) | C (≥0.8%) | D (≥0.6%) | F (<0.6%)
| Unit Size | Monthly FMR |
|---|---|
| Studio | $2,550 |
| 1 Bedroom | $2,680 |
| 2 Bedrooms | $2,920 |
| 3 Bedrooms | $3,700 |
| 4 Bedrooms | $4,050 |
| 5 Bedrooms | $4,698 |
| 6 Bedrooms | $5,262 |
| 7 Bedrooms | $5,683 |
| 8 Bedrooms | $5,967 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $2,920 | $300,042 | 0.97% | C |
| 3BR | $3,700 | $732,957 | 0.5% | F |
| 4BR | $4,050 | $795,584 | 0.51% | F |
| 5BR | $4,698 | $893,499 | 0.53% | F |
U.S. Census Bureau data (2024)
The ZIP code 10705 in Yonkers, NY, stands out within Westchester County due to its unique demographic and economic characteristics. With a population of 38,887, it has a significant rental market, with 63.2% of residents renting their homes. The median income here is $67,918, which is noteworthy when compared to the median home value of $688,192. This disparity suggests that homeownership is a significant financial commitment, while the rental market remains robust.
For landlords and small-portfolio investors, the voucher economics in ZIP 10705 are particularly important. The Fair Market Rent (FMR) for the area, as set by HUD for fiscal year 2024, is $2,140. In contrast, the Zillow Observed Rental Index (ZORI), which reflects market rents, is at $2,649. This indicates that landlords participating in the Section 8 program can expect lower rental incomes compared to market rates. However, the stability provided by government-backed vouchers might outweigh the difference for many property owners.
The data signature of ZIP 10705 reads as stable. Despite the high median home value, the strong rental market and relatively high median income suggest a consistent demand for housing. The gap between FMR and ZORI highlights the importance of understanding the local rental dynamics before making investment decisions. For those considering Section 8 properties, the lower FMR should be balanced against the security of guaranteed payments and the potential for long-term tenancy.
Data Sources: FMR data from HUD (2027). Median home prices from Zillow (2026-08-31). Demographics from U.S. Census (2024).
About FMR: Fair Market Rent (FMR) is used to determine payment standards for the Section 8 Housing Choice Voucher program, initial renewal rents for some expiring project-based Section 8 contracts, and rent ceilings for HOME Investment Partnerships.